Investors Buy High Volume of Call Options on TeraWulf (NASDAQ:WULF)

TeraWulf Inc. (NASDAQ:WULF) was the target of unusually large options trading on Monday. Investors purchased 236,299 call options on the stock. This represents an increase of approximately 52% compared to the average daily volume of 155,359 call options.

TeraWulf Price Performance

Shares of WULF traded up $2.13 during trading hours on Monday, reaching $28.19. 23,973,547 shares of the company’s stock traded hands, compared to its average volume of 30,658,223. The stock has a market cap of $13.97 billion, a PE ratio of -11.37 and a beta of 3.82. The company has a current ratio of 1.20, a quick ratio of 1.20 and a debt-to-equity ratio of 33.00. The firm’s 50 day simple moving average is $22.12 and its 200-day simple moving average is $17.13. TeraWulf has a 12 month low of $3.39 and a 12 month high of $28.45.

TeraWulf (NASDAQ:WULF) last issued its quarterly earnings results on Friday, May 8th. The company reported ($1.01) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.19) by ($0.82). TeraWulf had a negative net margin of 611.46% and a negative return on equity of 305.07%. The business had revenue of $34.01 million for the quarter, compared to the consensus estimate of $34.69 million. During the same quarter last year, the business posted ($0.16) EPS. The business’s revenue was down 1.1% compared to the same quarter last year. Equities analysts expect that TeraWulf will post -0.96 EPS for the current year.

Insider Buying and Selling

In related news, CEO Paul B. Prager sold 166,650 shares of the company’s stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $24.43, for a total transaction of $4,071,259.50. Following the completion of the sale, the chief executive officer owned 4,249,202 shares in the company, valued at approximately $103,808,004.86. This represents a 3.77% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Patrick Fleury sold 26,414 shares of the company’s stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $16.14, for a total value of $426,321.96. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders purchased 6,500 shares of company stock worth $100,333 and sold 1,120,850 shares worth $20,462,114. 15.90% of the stock is currently owned by corporate insiders.

Institutional Trading of TeraWulf

A number of hedge funds have recently bought and sold shares of WULF. Vanguard Group Inc. lifted its position in TeraWulf by 37.4% in the 4th quarter. Vanguard Group Inc. now owns 33,643,009 shares of the company’s stock worth $386,558,000 after buying an additional 9,162,958 shares during the last quarter. Voloridge Investment Management LLC purchased a new position in TeraWulf in the 3rd quarter worth approximately $69,006,000. Wellington Management Group LLP increased its stake in TeraWulf by 36,193.2% in the 3rd quarter. Wellington Management Group LLP now owns 3,901,878 shares of the company’s stock worth $44,559,000 after purchasing an additional 3,891,127 shares during the period. Jennison Associates LLC purchased a new position in TeraWulf in the 1st quarter worth approximately $53,418,000. Finally, Marshall Wace LLP increased its stake in TeraWulf by 574.2% in the 4th quarter. Marshall Wace LLP now owns 3,186,200 shares of the company’s stock worth $36,609,000 after purchasing an additional 2,713,587 shares during the period. Institutional investors own 62.49% of the company’s stock.

Analyst Ratings Changes

Several brokerages recently issued reports on WULF. Lucid Cap Mkts upgraded TeraWulf to a “strong-buy” rating in a report on Wednesday, May 27th. Jefferies Financial Group initiated coverage on TeraWulf in a research note on Thursday, May 14th. They issued a “buy” rating and a $28.00 price objective for the company. Keefe, Bruyette & Woods lifted their price target on TeraWulf from $25.00 to $33.00 and gave the company an “outperform” rating in a research report on Tuesday, May 12th. Sanford C. Bernstein began coverage on TeraWulf in a research note on Wednesday, June 3rd. They issued an “outperform” rating and a $46.00 target price for the company. Finally, Morgan Stanley set a $66.50 target price on TeraWulf in a research note on Wednesday, June 3rd. Two investment analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, TeraWulf currently has a consensus rating of “Moderate Buy” and an average price target of $31.86.

About TeraWulf

TeraWulf, Inc (NASDAQ: WULF) is a digital asset infrastructure company focused on the development and operation of zero-carbon bitcoin mining facilities. The company integrates sustainable power generation with high-density data center technologies to deliver environmentally responsible digital asset mining services. Its core business revolves around designing, building and operating large-scale mining projects powered exclusively by renewable or emissions-free energy sources.

One of TeraWulf’s flagship projects is “Project Nautilus,” located in Tompkins County, New York, which harnesses hydroelectric power sourced from the New York State Electric & Gas (NYSEG) grid.